Tristan Funds begin 2015 with €450 mln acquisitions spree in Germany (DE)

Tristan Capital Partners have acquired a neighborhood shopping center in Berlin and a mixed‐use building in the center of Munich among five investments in Germany that will complete in the first quarter of 2015 for a total in excess of €450 mln.
Ali Otmar, Managing Director of Investments at Tristan Capital, said: “Germany’s economic resilience has been a key theme in Europe for Tristan funds, as has been the focus on neighborhood shopping centers that have a dominant position in local city catchment areas. Tristan funds have started 2015 with these two acquisitions and three others that are pending.”
Curzon Capital Partners III L.P., a core plus‐style fund, has acquired the 37,900 m² Neukölln Arcaden shopping center located on the main thoroughfare of the fashionable Berlin district of Neukölln for €65.6 mln from AXA Immosolutions, a German open‐ended fund that is in liquidation. Neukölln Arcaden has 46 shop units, a nine‐screen cinema, a public library, post office and parking on its upper floors with space for some 650 vehicles. PAMERA Cornerstone REA is advising on overall asset management of the center and will take a co‐investment stake in the transaction.
CCP III has also purchased a 9,300 m² mixed‐use building adjacent to the Karstadt department store in Munich for €62.2 million from Credit Suisse’s CS Euroreal open‐ended real estate fund, which is also in liquidation. It plans to convert the upper floor office space into a 175‐room hotel in a joint venture with the Freo Group, a private equity firm specialized in real estate investments and related services in Central and Western Europe. Freo has pre‐let the planned hotel on a 25‐year lease to the “25hours Hotel” operator and will continue to act as asset manager and co‐investor.
Separately, Tristan Capital‐advised sister fund European Property Investors Special Opportunities 3 (EPISO 3) has agreed transactions pending completion worth a total of €327 mln, including one of the largest retail properties in central Munich, a portfolio of mixed‐use properties located mainly in Berlin and Frankfurt and a logistics park in Bielefeld, North Rhine‐Westphalia.
Source: Tristan Capital Partners